Newsletter end of October 2020

For the month of October 2020, the Enhanced Permanent Portfolio account lost -1.39%.
October was a difficult month, with all major asset classes going down. The Stoxx600 dropped -5.2% and the S&P500 was down -2.5%. Unfortunately also our safe haven assets declined, with Gold declining -0.5% and Treasuries declining -3.4%.
This decline of all major asset classes means, that many investors just went to cash until the November 2. US presidential elections are over. Most of our decline however was due to again increasing volatility which had a negative effect on our option based long positions. This losses however will be recovered quickly, if volatility drops. Hopefully this should be the case, once the US presidential elections are over.

Your Rational Invest Team
Walter Baumann / Frank Grossmann / Thomas Ritter
Tel +41 44 515 48 00 / Email info@rational-invest.com